Capital Commercial Finance Group UK

CAPITAL

FINANCE GROUP.CO.UK

The Commercial Finance Specialists for the Business Community

Any Questions?

020 3576 3620

Email us

info@cfguk.co.uk

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HOLIDAY LET MORTGAGES

FREE EXPERT ADVICE GIVEN ON ALL COMMERCIAL FINANCIAL PRODUCTS

We are Specialists in holiday let mortgages

Whether you need finance to purchase, re-mortgage, renovate or develop a holiday let property, we can help you with advice and a range of innovative mortgage solutions. A holiday let mortgage will allow you to purchase a property that will be let out to paying holidaymakers, whilst also allowing you to personally use it as a holiday home each year. So, even if your situation is not ‘the norm We can still assist you.

We work with clients in so many different ways to help secure their holiday cottages and second homes. Our primary role will be to research and select the most appropriate mortgage product. Often a clients circumstances, or occasionally the property, means that it falls outside of some lenders criteria and we have to find the lenders that can lend.

We deal with all of the holiday let mortgage lenders Holiday letting and serviced accommodation is a growing part of the UK property market. The lenders tend to be small and specialist, rather than well known high street banks. We have built well established relationships with these lenders over the many years we have been active in this market.

We are Specialists in holiday let mortgages

The average rent needs to covers the mortgage interest payments with a safety margin of 25-45% (depending on the lender) with the mortgage calculated at an interest rate of 5.5%. This rate is purely used for the calculation and does not affect the ‘product rate’ that your actual mortgages payments are based on. This calculation, along with the Loan To Value (LTV), will determine the maximum mortgage for this particular holiday let. You will see that the rental income plays a crucial part in the affordability calculation. Maximising this by choosing the right property in the right location will make your application much stronger. A Holiday Let Mortgage can help you achieve such a dream and can also become a worthwhile investment if you do it correctly. There are tax breaks to be had a true Holiday Let as they are considered by HMRC to be a business providing you adhere to the rules. An accountant is probably better placed to help you understand the tax breaks.

A Holiday Let mortgage is different Buy To Let, as it is intended for people who will have short term lets during peak period throughout the year due to tourism. A Buy To Let is a long term rental. This is also different from a Holiday Home Mortgage which is a second home that only you will use. It cannot be let out to others. A furnished Holiday Let, if administered correctly, may have tax breaks allowable by HMRC but only if the rules have been adhered to. For example, the property has to be available to be let out for a minimum of 210 days per year, and you have to actually let it out for 105 days a year. Also, you can’t include in those days any longer term lets i.e. anything over 31 days.

A Holiday Let Mortgage can help you achieve such a dream and can also become a worthwhile investment if you do it correctly. There are tax breaks to be had a true Holiday Let as they are considered by HMRC to be a business providing you adhere to the rules. An accountant is probably better placed to help you understand the tax breaks.

How can we help you?
Our range of holiday let finance options is extensive and includes purchase, re-mortgage and development mortgages.

To find out more give us a call on 020 3576 3620 or email info@cfguk.co.uk